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LCV values rise in December

Year-on-year values remained well ahead, up by £339, equivalent to a 4.8% increase over the period despite both average age and mileage rising.

Chris Wright

29 January 2019

Industry & Market News

AVERAGE light commercial vehicle values rose during December at BCA, with the headline figure reaching £7,315, an increase of £169 (2.3%) over November. Year-on-year values remain well ahead, up by £339, equivalent to a 4.8% increase over the period despite both average age and mileage rising. Buyers were active on the run up to the festive period, and the shortened trading window created focused demand. In-lane and online auctions were well attended throughout December, with confident bidding across the national network. Buyers continued to focus on the best specified and presented vehicles, with hard-worked, damaged or base specification examples needing to be sensibly valued if they are to sell first time. Year-on-year table: All vans

All vans	Avg Age (mnths)	Avg Mileage	Avg Value
Dec 2017	49.05	63,446	£6,976
Dec 2018	52.40	67,518	£7,315

BCA’s Stuart Pearson said: “December is a shortened trading period and creates focused buyer demand. Online buyers were very active during the month, competing strongly with in-lane bidders across the range of stock on offer. “There was plenty of interest for any vehicles with a retail type specification, an unusual configuration or special equipment and, as always, any vehicle suitable for the delivery or courier markets was sought after. “Early signs are the market has returned strongly in January, with good attendance at sales since the turn of the year and plenty of activity from online bidders.” Fleet and lease LCVs averaged £8,276 in December, an increase of £78 over November’s average figure with retained value against MRP (Manufacturer Recommended Price) improving by half a percentage point to 40.15%. LCV values continue to demonstrate long-term growth, with December 2018 ahead of the same month in the previous year by £516 (6.6%) even with average age and mileage rising. Year-on-year table: Fleet & lease vans

Fleet/Lease	Avg Age (mnths)	Avg Mileage	Avg Value	Sale vs MRP
Dec 2017	38.03	56,605	£7,760	38.09%
Dec 2018	40.66	58,200	£8,276	40.15%

Average part-exchange LCV values rose sharply at BCA in December 2018 to reach the highest point on record at £4,760, an increase of £191 (4.1%) over November. Year-on-year values were ahead by a substantial £545, equivalent to a 12.9% increase over December 2017, despite both comparative age and mileage rising, the latter by over 6,000 miles. Year-on-year table: Part-Ex vans

Part-Ex	Avg Age (mnths)	Avg Mileage	Avg Value
Dec 2017	78.42	84,453	£4,215
Dec 2018	80.22	90,685	£4,760

Nearly-new LCV values averaged £16,924 at BCA in December, a small rise over November’s figures and the second highest average monthly value recorded at BCA this year. As always, these values have to be taken in the context of the low volumes reaching the market, the model mix factor and availability of stock. Year-on-year table: Nearly-new vans